Title: Interval integrated data envelopment analysis for simultaneously measuring both efficiency and effectiveness

Authors: Babooshka Shavazipour

Addresses: Department of Statistical Sciences, University of Cape Town, Rondebosch 7701, Cape Town, South Africa

Abstract: Relative efficiency of decision making units producing homogeneous outputs can be estimated by data envelopment analysis (DEA) which is a non-parametric technique. Sometimes, different types of efficiencies such as technical (relative) efficiency and effectiveness of services in transport services, or other commodities which cannot be stored, need to be measured simultaneously to fully capture these services' overall efficiency because of different dimensions of these two measurements. The integrated data envelopment analysis (IDEA) approach simultaneously measures these two efficiency measurements. But can deterministic models be developed to solve the problems that have a different level of uncertainty? The extension of the IDEA approach from deterministic to uncertain situations, where interval numbers illustrate observations, has been proposed in this study. The extension principle is utilised to develop a pair of two-level mathematical programs to compute the upper and lower bounds of the interval service effectiveness (SE) and technical efficiency (TE). The example of intercity bus companies in Iran is applied to illustrate how to calculate the TE, SE, technical effectiveness (TET), and how to derive their relationship when the data is interval.

Keywords: data envelopment analysis; DEA modelling; technical efficiency; service effectiveness; technical effectiveness; interval data; integrated DEA; uncertainty; intercity buses; Iran; transport services.

DOI: 10.1504/IJMOM.2014.067380

International Journal of Modelling in Operations Management, 2014 Vol.4 No.3/4, pp.208 - 228

Received: 07 Jul 2014
Accepted: 16 Oct 2014

Published online: 14 Feb 2015 *

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